Prison term reduced for Australian jailed in China

An Australian man jailed in China over a business-related dispute will be freed in two weeks after having his prison term reduced on Friday.

A judge in the eastern city of Nanjing cut Carl Mather’s sentence for assault to six months, but ordered the 54 year-old to pay increased compensation of around 80,000 yuan ($A13,000) to the two victims.

Outside the Jiangsu High Court Mr Mather’s wife, Jenny Xie, said the family would now sell everything and leave China.

“I feel ashamed of this country. Nobody is safe here," she said.

The assault claim was lodged after four people came to the couple’s home following a dispute relating to Ms Xie’s food wholesaling business.

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Ms Xie said the charges against her husband were fabricated in an attempt to extort 1.5 million yuan ($228,850) from her business.

Mr Mather is one of five Australians known to be imprisoned in China over business related disputes. His detention is the latest example of how well connected parties can use China’s opaque legal system as a weapon in business related disputes.